Buying Silver

[ronny]

I dont mean to be starting anything but please tell me how gold and silver is a horrible investment? It seems like its the one of the only things that actually keeps up with inflation. Wasnt gold 300-400 an ounce in the late 90s? I know it may be artificialy high now but even so I would "gamble" it doesnt go much below 1000 again. Name Anything else that doubles in 10 years? I know when the economy picks up it will go down but just like gas once it gets up it never goes down even though there is no reason for it to be as high as it is.

This is from memory and that's tricky these days (see sig). However, I seem to remember that gold was in excess of $800 back in 1984. Then the bottom fell out and it dropped to $300, or less. That $800 figure actually equates to more than the current $1,800 price, given the value of the dollar.

I've never understood the mentality that gets caught up in buying high.

 

[MaddSkillz]

Horrible investments, I mean, just look at it!

Gold

Silver

 

[ronny]

$1.00 in 2011 had the same buying power as $0.46 in 1984.

Annual inflation over this period was 2.90%.

Just sayin'.

 

[JD8]

I dunno that I'd be buying Gold right now...... silver is STILL undervalued though. Highly doubt we'll see $100 an oz, but I hope I'm wrong.

 

[ronny]

I worry that the conditions that might cause silver to reach $100 are pretty horrendous.

 

[JD8]

I worry that the conditions that might cause silver to reach $100 are pretty horrendous.

Technically, it should be closer but for reasons mentioned previously and it being a crowded trade, the disassociation between gold and silver is huge. Dunno if that gap is gonna close.

 

[Dale00]

I see a drop in silver if it appears likely that we will regain conservative control of the Presidency and the Congress. Especially if the presidential candidate makes a convincing case for reducing government regulation and interference with business.

How temporary or permanent that drop would be is guesswork.

 

[ronny]

If silver goes back to $20, buy.

 

[R. Johnson]

The only way the dollar value of gold and silver goes down is if cash is taken out of circulation. So the prediction of it's price coming down with a conservative take over of the govt may be accurate. I certainly hope so. I don't see precious metals as something you invest in like stocks. Their value is fixed, and owning them is something that will protect you from the crashing value of the dollar.

 

[SoonerATC]

Funny this thread was started - I was just in a 7-11 this morning and the guy gave me change in half dollars. I quickly asked he he had any others, and bought them from him. Walked out with three 40% silver half dollars - 1967, 1968, 1969.